&EPA
www. e pa.go v/o u st
FY  201  I  Annual  Report  On The
Underground  Storage Tank Program
 For more than 25 years, EPA, states, territories, tribes, and other partners have
 made significant progress in preventing, detecting, and cleaning up leaks from
 underground storage tanks (USTs).

 This report provides a snapshot of LIST program activities in fiscal year (FY) 2011
 (October 1, 2010 - September 30, 2011).  The report presents advances made in
 preventing releases and conducting cleanups.  These advances ultimately result in
 preventing environmental contamination, protecting groundwater, and further
 protecting human health and the environment from LIST releases. The LIST
 program is comprised of a meaningful partnership among states, territories, tribes,
 and EPA,  and a host of other stakeholders.
 FY 20! I  UST Program Accomplishments
 At the end of FY 2011, there were approximately 590,000 federally-
 regulated, active USTs at approximately 212,000 sites across the country.
 EPA provides money directly to tribes and states for developing and
 implementing  their prevention and cleanup programs.  Collectively, the
 UST program has accomplished a great deal.

 Prevention
 •   Active UST compliance rates continue to increase, with more than 70
     percent of active USTs complying with  requirements to prevent and
     detect leaks (exceeding EPA's goal of 66 percent compliance)
 •   The UST  compliance rate in Indian country was 61 percent
 •   The number of new UST releases identified each year continues to
     decline, with just under 6,000 new leaks reported in FY 2011 (meeting
     EPA's goal to reduce annual releases to fewer than 8,550); this is a 6
     percent drop in the number of new releases reported compared to FY
     2010
 Cleanup
 •   30 of the 54 states and territories that received leaking underground
     storage tank (LUST) American Recovery and Reinvestment Act money
     completed their work
 •   Of the 501,000 releases reported since the beginning of the program,
     UST partners completed more than 413,000 cleanups or about 82
     percent, leaving a backlog of almost 88,000 releases remaining to be
     cleaned up
 •   UST partners cleaned up 11,169 sites, meeting approximately 91
     percent of EPA's FY 2011 goal to clean up 12,250 LUST sites
                                                      Contents

                                               UST Accomplishments   I
                                               Preventing Releases     2-3
                                               Cleaning Up Releases    4-5
                                               Looking Ahead          6
                                         An old gas station may indicate underground
                                         storage tanks are nearby
                                          FY 201 I GPRA* National UST Program
                                              Goals And Accomplishments
                                                              Goal  Actual
                                          Significant Operational
                                          Compliance Rate
66%   70.9%
                                          New Reported Releases    <8,550   5,998

                                          Cleanups-Total          12,250  11,169

                                          Cleanups-Indian Country     38     42

                                          *Government Performance Results Act of 1993
                                           To keep the public informed, EPA posts
                                             mid and end of year activity reports
                                           that provide information on compliance,
                                          releases, and cleanups across the country.
                                          See the FY 2011 end of year activity report.
     I U.S. Environmental Protection Agency
     I Office of Underground Storage Tanks

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Preventing Releases
   The LIST program achieved significant milestones in detecting and preventing releases. Our past successes, our
   collaborative relationships with the tanks community, and the valuable work at state and local levels collectively
   supported the LIST program's prevention efforts. EPA will continue to work with LIST stakeholders, exploring ways to
   leverage our resources and ensure we maintain a robust national prevention program.
     UST Universe -  End Of FY 201 I
     States
Active Tanks:     587,517

Closed Tanks:    1,762,294
Indian Country
Active Tanks:
Closed Tanks:
2,587
5,899
   Reducing Confirmed Releases
   In FY 2011, EPA, states, territories, and tribes focused on
   bringing UST systems into compliance and keeping them in
   compliance with leak detection and release prevention
   requirements. One way the program assesses the relative
   success of these prevention efforts is to measure the number
   of confirmed releases each year.

   EPA achieved its FY 2011 goal to reduce confirmed tank
   releases to fewer than 8,550.  There has been a steady
   reduction in annual underground storage tank confirmed
   releases, from almost 67,000 in FY 1990 to 5,998 in FY 2011.
   Energy Policy Act Implementation
   When Congress passed the Energy Policy Act in August 2005,
   EPA, state, territorial, and tribal underground storage tank
   programs were presented with a mandate that focused on
   reducing UST releases and required numerous changes to
   tank programs. EPA, states, territories, and tribes have shown
   tremendous dedication and made significant progress toward
   meeting all of the act's requirements and strengthening UST
   release prevention programs.

   •   All states have grant agreements in place to implement
       Energy Policy Act provisions
   •   Most states met these major requirements - secondary
       containment or financial responsibility provision, delivery
       prohibition, state UST compliance report, initial two year
       inspections, public record posted, and three year
       inspections
   •   Together, EPA and tribes are continuing to implement the
       2006 tribal strategy and further the goals of the UST
       program in Indian country

   Although our collective progress over the past six years is
   impressive, state, territorial, and tribal UST programs are
   faced with a great deal of ongoing work to continue
   implementing the Energy Policy Act requirements. The
   inspection requirement is a good example of this.  States and
   territories did much to meet the initial three year cycle of
   inspecting all UST facilities by August 2010; yet the three year
   inspection cycle is a rolling three year requirement continuing
   into the future.
Pursuing UST  Facility Compliance
One of the key elements in preventing releases is to increase a
facility's operational compliance with UST regulations.
Significant operational compliance (SOC) means that a facility
has the necessary equipment required by current UST
regulations to prevent and detect releases and performs the
necessary UST system operation  and maintenance. In FY
2011:

•  The national SOC rate was 70.9 percent, which is almost
   5 percent above our target rate of 66 percent, yet still
   allows room for continued improvement
•  The SOC rate in Indian country was 61 percent, which is
   5 percent below the national goal of 66 percent; SOC rates
   in Indian country vary from year to year due to the relatively
   small number of facilities, but EPA is working to close the
   gap with the national rate
                            Three Year Inspections Increase

                            UST Compliance
                            One of the key elements in preventing releases is to increase a
                            facility's operational compliance with UST regulations. Now
                            that we have completed the initial two year inspections (some
                            UST facilities were never inspected before the inspection
                            requirement, likely accounting for the initial dip in compliance
                            rate during the two year cycle) and states are inspecting every
                            UST facility at least once every three years, we are seeing
                            compliance rates increase. We expect the compliance rate to
                            continue to  improve as UST operators are trained on the UST
                            requirements.
                                     Initial 2-year    First 3-year Inspection Cycle   Second 3-year Inspection
                                     Inspections                          Cycle
                          I 70%
                          u

                          41
                          " 65%
                          I
                              2004   2005   2006   2007   2008   2009   2010   2011    2012   2013

                                                     Fiscal Year

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                                                                   Preventing  Releases
Preventing Releases  In

Indian Country
Tribes and EPA worked to improve UST compliance in Indian
country during FY 2011 by enhancing inspection efforts,
developing additional compliance-focused assistance
agreements with tribes, and providing training to tribal
environmental professionals and facility owners and
operators.

At the end of FY 2011, there were 2,587 active USTs in Indian
country. While compliance rates fell in FY 2011, confirmed
releases also fell, indicating progress in preventing releases.

Designating tribal inspectors as authorized representatives of
EPA to inspect USTs can help increase the geographic
coverage and frequency of inspections in Indian country.  It
also helps enhance relationships and increase the capabilities
of tribal inspectors. Since EPA's commitment in 2006 to issue
federal credentials for tribal inspectors, 11 inspectors received
credentials; although currently eight hold credentials as a
result of changes in tribal staff responsibilities and turnover.
In FY 2011, these federally-credentialed tribal inspectors
contributed significantly to meeting the inspection
requirements of the Energy Policy Act by completing 75
inspections.  EPA anticipates at least two additional tribal staff
will  receive federal credentials in FY 2012.

In May 2011, the Oneida Tribe of Indians of Wisconsin hosted
our  fourth annual tribal-EPA underground storage tank
meeting in Oneida, Wisconsin. Meeting participants worked
together to identify tribal issues, build relationships, and
continue partnerships and improvements in Indian country
UST programs.
Addressing Alternative  Fuels
EPA published UST compatibility guidance in the July 5, 2011
Federal Register. The guidance is a resource tank owners
can use to demonstrate their tank systems are compatible
with ethanol blends greater than 10 percent or biodiesel
blends greater than 20 percent. According to the guidance,
acceptable methods for demonstrating compatibility include
using equipment that is certified or listed by a nationally
recognized, independent testing laboratory for use with the
fuel stored; or using components approved by the
manufacturer to be compatible with the fuel stored.

EPA continues to periodically observe unusual and
unexplained conditions at tanks containing ethanol, as well as
other substances. The UST program is working to
understand these anomalies and avoid releases from
compatibility problems.
      In FY 2011, EPA provided $32.3 million to states
       and territories for UST prevention activities.
           EPA also provided $2 million for the
        UST prevention program in Indian country.
Proposed Changes To

UST Regulations
On November 18, 2011, EPA published proposed changes
to the underground storage tank regulations in the Federal
Register. This is the first time EPA is proposing significant
revisions to the federal UST regulations since they were first
promulgated in 1988. These revisions will create equal
UST release protection in Indian country relative to that
provided by the Energy Policy Act of 2005 in the rest of the
country. The proposal will also improve the 1988 UST
regulations by closing some regulatory gaps,
accommodating new technologies, and focusing on  properly
operating and maintaining existing UST systems. This
proposal improves prevention and detection of UST
releases, which are  one of the leading sources of
groundwater contamination. The public comment period
closes April 16,2012.

EPA is  proposing to revise the UST technical regulation in
40 CFR part 280 by:
    Adding secondary containment requirements for new
    and replaced tanks and piping
    Adding operator training requirements for UST system
    owners and operators
    Adding periodic operation and maintenance
    requirements for UST systems
    Removing certain deferrals
    Adding new release prevention and detection
    technologies
    Updating codes of practice
    Making editorial and technical corrections
EPA is also proposing to update the state program approval
requirements in 40 CFR part 281 to incorporate the
proposed changes to the UST technical regulation listed
above.

In developing the proposed revisions, EPA reached out
extensively to affected and interested UST stakeholders.
This included environmentalists, community groups, states,
tribes, owners and operators, equipment manufacturers,
federal facilities, and small businesses.  EPA was sensitive
to future costs for UST owners and operators and,
consequently, minimized required UST system retrofits in
the  proposed revisions. We appreciate feedback on the
proposal, and we will carefully consider all comments.

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Cleaning Up  Releases
   The LIST program continues to make great progress in cleaning up leaking underground storage tanks.  EPA works with
   states, territories, and tribes to clean up LUST sites and address the hurdles in reducing the backlog of cleanups.

   In FY2011, EPA and our state, territorial, and tribal partners completed 11,169 cleanups, 42 of which were in  Indian
   country.  The cleanup backlog, which is the difference between the cumulative number of confirmed releases and
   cleanups completed, also continued to  decline from 142,000 sites a decade ago to 87,983 sites at the end of FY 2011.
    National  Cleanup Backlog Study
    In September 2011, EPA issued its analysis of the backlog,
    The National LUST Cleanup Backlog: A Study of
    Opportunities.  To characterize  LUST releases, EPA
    analyzed LUST data from 14 states, particularly those
    releases where cleanup was not complete. The study
    covers both data findings and opportunities states found to
    reduce their backlogs.  EPA is working with our partners to
    implement backlog reduction strategies, based on the
    analysis in the study. Study highlights include:

    •   Many releases are old; over 71 percent of open
       releases were 10 years old or older
    •   Many old releases  are in the early stages of cleanup;
       only 50 percent of releases 10 years old and  older
       have started remediation
    •   Almost 80 percent  of remaining releases impact
       groundwater
    •   Available funding and staff workload are limiting factors
  •o 160,000
  a)
  a!
  "5. 140,000


  u 120,000
BO O-
3 c 100,000
  •a
  0)
  c
  o
  u
80,000


60,000


40,000


20,000


    0
                       National Cleanup Backlog
            2002  2003  2004 2005  2006 2007  2008 2009  2010 2011

                              Fiscal Year
    Continuing Cleanup Progress In

    Indian Country
    EPA has primary responsibility for implementing the LUST
    program in Indian country and actively works with tribes to
    identify, assess, and clean up UST releases. In FY 2011, EPA
    completed 42 cleanups in Indian country, exceeding the goal
    of 38 cleanups.  This success is partly a result of focused
    efforts to complete remaining cleanups at older sites and
    increased use of national and regional Indian country cleanup
    contracts.  For nearly a decade, LUST Trust Fund money has
    supported cleanup contracts EPA maintains for cleanup
    activities in Indian country. These contracts help assess LUST
    Trust Fund eligible sites; design corrective action plans; and
    remediate contaminated sites.

    Over the past five years, the LUST cleanup backlog in Indian
    country has remained relatively steady.  Completing cleanups
    and reducing the backlog of Indian country sites has become
    more difficult because EPA is addressing sites that require
    complex cleanups and take more time and resources to
    complete.  In addition, some EPA regions are conducting
    comprehensive surveys to  identify abandoned tanks; some of
    these tanks may have unreported releases that will add to the
    backlog of sites. EPA will need to continue working diligently
    in order to reach our FY 2012 goal  of completing 42 cleanups
    in Indian country.
            In FY 201 I, EPA provided $63.1 million
          to states and territories for LUST cleanups.
                EPA also provided $3.1 million
             for LUST cleanups in Indian country.
                 Indian Country And National LUSTCIeanup Rate
                     10 Year Comparison: 2002 - 2011
         2002  2003  2004  2005  2006  2007   2008   2009   2010   2011

                      ••^Indian Country  -^National
   Over the last decade, the cleanup rate in Indian country lagged behind
   the national rate by about 10 percent. In FY 201 I, the gap was reduced
   to 7 percent.

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                                                               Cleaning  Up  Releases
Progress At Petroleum Brownfields
In FY 2011, EPA made significant progress facilitating the
reuse and revitalization of petroleum-contaminated
brownfields sites.

EPA published Opportunities For Petroleum Brownfields.
which focuses on developing solutions for petroleum
brownfields. The report presents examples of successful
reuse projects, and funding and technical assistance
resources.

EPA reached out to stakeholders, fostering a greater
appreciation of their role in community and area-wide
revitalization efforts. EPA supports integrating UST sites
and the growing need for access to health and healthcare
when communities consider potential reuses of petroleum
brownfields sites.  This integration is starting to take shape
along the Selma to Montgomery Civil Rights Trail and in
Florida's Highway to Healthcare Initiative.  EPA envisions
harnessing these and other reuse options as exit strategies
for sites currently lingering in corrective action backlogs that
could be more systematically integrated into community
development plans.  EPA is also working with other
programs to capture the results of these and  other
revitalization opportunities.
Petroleum Vapor Intrusion
One of the UST program's continuing technical challenges is
how best to address petroleum vapor intrusion (PVI) at
LUST sites. Petroleum hydrocarbon vapors from LLJSTs
can migrate into inhabited buildings and threaten public
health and safety.

In 2011,  EPA developed draft guidance to assist regulators,
consultants, and other practitioners in investigating and
assessing petroleum-contaminated sites where PVI may
occur. The draft PVI guidance will focus on federally-
regulated Subtitle I LUST sites, which are typically gas
stations. It will contain information and practices that may
be useful at other sites (such as fuel terminals and airport
hydrant systems) where petroleum contamination and PVI
are potential concerns. The draft PVI guidance will be a
companion to EPA's Office  of Solid Waste and Emergency
Response comprehensive document, which will address
vapor intrusion from non-petroleum sources (such as
chlorinated hydrocarbons and volatile inorganic
compounds). Both guidances will be available in November
2012.

Also in 2011, OUST issued a paper on  the differences
between petroleum hydrocarbon vapors and chlorinated
solvent vapors and developed a web-based compendium of
technical information on PVI.
ARRA Money Advances LUST

Assessments And  Cleanups
The LUST provision of the American Recovery and
Reinvestment Act of 2009 provided $200 million of LUST Trust
Fund money to assess and clean up releases of contamination
from federally-regulated USTs. States and territories made
significant progress in assessing and cleaning up  LUST
releases with LUST Recovery Act money. This money resulted
in substantial environmental protection, while creating or
retaining hundreds of jobs, averaging 285 jobs per quarter in
FY 2011.  The chart below demonstrates the UST  program's
accomplishments and performance.
      LUST Recovery Act
    Performance Measures
 Site assessments initiated

 Site assessments completed

 Cleanups initiated

 Cleanups completed
Cumulative Results
 2/17/09-9/30/11
       1,319

       1,660

       1,659

       1,617
As of September 2011, LUST Recovery Act money was spent
at 2,818 sites where one or more of the measures were
achieved. In addition, LUST Recovery Act money contributed
to other assessments and cleanups at 3,650 additional sites
which did not begin as Recovery Act projects and are not yet
completed.

In 2011, EPA continued its work to clean up sites in  Indian
country using LUST Recovery Act money, which EPA allocated
to existing cleanup contracts with Native Alaskan or Native
American firms. This one time addition of money substantially
increased EPA's ability to assess and clean up leaking
underground storage tank sites in Indian country. This money
supported work at approximately 56 sites in Indian country
benefiting over 23 tribal communities.

As of September 2011, 30 of the 54 states and territories that
received LUST Recovery Act money completed their work.
Most of the remaining states will complete their work in FY
2012, ensuring additional accomplishments and jobs.  See
LUST Recovery Act on EPA's website for more information.
                                                              Sampling methane from a groundwater
                                                              monitoring well at a LUST site

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Looking Ahead
                                                                         March 2012
 A Letter To UST Stakeholders

 From Carolyn Hoskinson, Director

 EPA's Office of Underground Storage Tanks

 This report shows many of the past year's accomplishments, which are the result of the
 combined efforts of all underground storage tank partners.  I think our tank partners have a
 very positive relationship. From where I sit, the UST program has honest dialogue, committed
 partners, and partners working toward common goals. We certainly don't agree on every issue
 in every circumstance-I'd be worried if we did.  To me, the key to success is to listen carefully,
 reflect thoughtfully,  and compromise when necessary while maintaining integrity. After more
 than five years in the UST program, that's what I've experienced:  from equipment
 manufacturers, to service providers, to tank owners and operators, and to tribes, states,  and
 EPA. If we can keep that up, we can continue to thrive.

 Looking forward, I am well aware of the challenges looming for the national UST program in
 2012 and beyond. We will certainly see continued tightening of federal, state, territorial,  and
 tribal budgets, as well as private sector budgets. Dwindling money will affect our work and
 how we do it. Nonetheless, our goals are straightforward:  Prevent leaks from tanks. Find
 leaks and clean them up.  Easier said than done, I know,  but we've done a great job so far,
 and I expect that to continue, despite the challenges.  With that in mind, here's what we are
 focusing on in 2012.

 Continue To Strengthen Partnerships
 •   Work with tribes to continue implementing the tribal-EPA UST strategy
 •    Find new and creative ways to keep in touch with all partners, despite having less money,
      especially fewer travel dollars

 Prevent Leaks
 •    Continue to pursue Energy Policy Act of 2005 mandates and deadlines
          *   Meet the 2012 operator training requirement
          *   Ensure each UST facility in the country is inspected once every three years
 •    Continue the process to update our regulations
 •   Address technical and regulatory issues involved with alternative fuels

 Find Leaks And Clean  Them Up
 •    Building on the results of our backlog study, work with partners to develop and implement
     strategies to reduce the cleanup backlog
 •    Close out work under the LUST provision of the American Recovery and Reinvestment Act
      of 2009
 •    Develop strategies to help revitalize communities by cleaning up abandoned gas station
     sites
 •    Bolster the availability of adequate money for cleanups through state funds, insurance,
      and other mechanisms
 •    Provide support on technical issues, such as identifying fuel constituents and evaluating
     vapor intrusion  and other exposure pathways

 We have an enormous job to do, and it's important. Although underground storage tanks
 might not be the hottest issue on people's minds across the country, it would be if tanks in their
 neighborhoods were leaking and jeopardizing their homes and drinking water; right? But, if we
 continue to do our jobs well, that's one less thing our neighbors need to worry about. I
 challenge each of you reading this to join me; let's stick together, embrace optimism, and forge
 ahead!

                                              Sincerely,
       UST Community
       Engagement
       In 2011, EPA worked with states and
       EPA regions to develop two
       documents about community
       engagement and the underground
       storage tank program.
          Overview Of State Community
          Engagement Plans And
          Websites summarizes
          community engagement plans
          for a sample of state and
          territorial UST programs; it
          highlights practices that
          encourage meaningful
          community engagement
          Community Engagement
          Resources (Toolbox) For
          Underground Storage Tank
          Programs provides resource
          materials and assistance on
          how to better communicate and
          involve stakeholders at sites that
          warrant additional community
          engagement; EPA welcomes
          additional resources for the
          toolbox
       Helping Tribes Improve
       Compliance
       EPA's five-year assistance
       agreement with the Inter Tribal
       Council of Arizona, Inc. (ITCA)
       irovides UST comoliance assistance
      training to tribal personnel and
      owners and operators in Indian
      country. The goal of this effort is to
      improve UST facility compliance
      throughout Indian country.  In FY
      2011, ITCA supported this goal by:

      •   Training approximately 275 tribal
          representatives in UST issues,
          such as:  compliance with
          prevention regulations, overview
          of requirements, installations,
          and operation and maintenance
      •   Developing written resources
          about health and environmental
          hazards from USTs, operations
          and maintenance, and best
          management practices
      •   Fostering communication and
          opportunities for collaboration
          among tribes and EPA on UST
                                                 m*	
EPA 510-R-12-001, March 2012
U.S. Environmental Protection Agency
Office of Solid Waste and Emergency Response
Office of Underground Storage Tanks

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